I should edit this by saying it was Reichmarks that came before the Deutschmark. It was the Reichmarks that were devalued and eventually became the Deutschmark.
And in a world where things are so bad that gold isn't accepted? I understand perfectly your point about universal acceptance of gold. I'm not sure central banks always will, I'll die in a bit and 200 years from today I have no idea of what reality will be like. I am simply saying that when people talk about the SHTF, they stop at the point where gold loses value, because the perception of value ceases to exist. In reality, gold has no more value than the dollar, as long as the perception exists. When I had to travel around Asia, I learnt to carry a roll of USD. Where nothing worked, the buck did. At security screening at Manila International, my roll of dollars was discovered. The screener looked at it and asked me why. I simply said I travel a lot and I carry that in case of need. He smiled and said, "ah yes, dollars, we can use them anywhere". Sounds like gold, as long as the perception lasts. The reality is gold is just metal, no different from stone. It has no intrinsic value. It can decorate, but it doesn't meet any of the basic requirements of life. A loaf of bread, on the other hand, can keep you alive. I agree though that the perception of the value of gold is something we can trade on. Just like I could charge you good money for a little rock I pick up on a beach in California. If you saw value in it.
OK, I won't belabor the point anymore. We can throw everything under the "perception" bandwagon including your wife, kids, parents, hell how we do we know your dog really loves you? You perceive that those tail wags are not a medical condition and truly represent true love. I guess at the end of the day, you have to believe in what you choose to believe. I believe in history...if for no other reason then it has already happened. The future is a little less certain...
Thank you. I was just about to suggest we agree to disagree. Basically we have a philosophical difference and as much as I'm sure you can't change my view, I'm sure I can't change yours, so continuing this would be, at best, an engaging exercise in futility. Now Magna thinks I'm naturally snarky, of course I think better of myself. You believe in history, as a trader I prefer not to bet my life on it, only what I'm willing to lose. Mav, you're special. You're one of the big reasons I'm here on ET. Idiots are a dime a dozen, and they shout louder than you can.
LOL, don't let it get to your head. Happy Fourth Mav, and to all those on here who celebrate. If ET is a community, this thread is home, and you all make it so.
During Armageddon, this along with lots of this will be worth more than gold. (Of course, if you aren't looking, and someone with the skills of a sneaks up and hits you in the head with his bar of gold, that's a different story)